HCC Insurance chairman leaves post

Published 6:30 am, Wednesday, February 21, 2007

Stephen Way, chairman and founder of HCC Insurance Holdings, has retired from the Houston company's board of directors, HCC announced Tuesday.

The company did not say who would replace him.

Way resigned as CEO of the company in November after an independent investigation had concluded that the company "used incorrect measurement dates for certain stock-option grants covering a significant number of employees" going back to 1995.

The company is also facing lawsuits and a Securities and Exchange Commission investigation about its stock-option practices.

Also Tuesday, the company reported fourth-quarter earnings of $80.7 million, or 69 cents a diluted share, up from $65 million, or 57 cents a diluted share, for the same period in 2005. Costs from the investigation helped offset earnings by $7.6 million during the quarter, the company said.

HCC posted fourth-quarter revenue of $599 million, compared with $447.6 million during the same period last year.

HCC reported year-end earnings of $342.3 million, or $2.93 a diluted share, up from $191.2 million, or $1.75 a diluted share, in 2005. Revenue for 2006 climbed to $2.1 billion compared with $1.6 billion in 2005.